The current perceptions of innovation are it’s all about big ideas and primarily technological. Big ideas have a lower success rate than small innovations. Innovations can occur in all aspects of business from new customer service ideas to improvements in operations. An idea isn’t an innovation until it is applied and turning a profit. The future belongs to small businesses that can turn innovations into profits.
The Customer Voice: Marketing has primarily been a one-way communication to the customer. The rise of Web 2.0 with blogs, Twitter, wikis, and community websites has created a powerful mechanism for customers to shout back.
The time is limited for companies to hide behind poor service and imperfect products. Company and people searches on search engines such as Google will continue to be a means for buyers to discover the truth behind marketing copy. Consumer opinions good and bad will shape the success of business. Savvy small businesses will monitor what is being said, use the feedback to improve and manage their reputation. Listening to your customer is more than an overused term but part of the new reality of business.
The Heath Care Crisis: The only hurdle to speed up the small business revolution is the health care crisis. The current malaise of the heath care system in countries around the world will see no signs of dissipating. With more expensive medical advances and aging populations living longer, the price of quality health care will continue to be a burden on small business.
Leaving behind company medical benefits to a start a business is risky. With new programs such as Health Savings Accounts, the ability of workers to leave corporations and be self-employed could be improved. A shift in treating disease through prevention will be needed to reduce costs and risks in the current system.
Knowledge Expiration: Like a carton of milk, the usefulness of knowledge expires over time. In any field, new discoveries over throw theories to create new ways of thinking. In the world of business, the assumptions and facts of today are tomorrows old way of thinking. As our world accelerates in knowledge creation, information will continue to change.
Nimble small businesses have the opportunity to learn new ideas and immediately apply them to their companies. Successful companies will learn how to unlearn and constantly challenge procedures, skill sets, and ways of doing business.
The Angry Planet: The global warming crisis is creating havoc in all parts of the world; interrupting supply chains, closing operations, devastating lives and businesses. Insurance firm Swiss Re predicts weather disasters will reach $150 billion per year in economic cost in a decade more than double of today's costs.
Without the resources of large corporations and limited government aid, small business will be the most vulnerable to the fickle demands of Mother Nature. According to a recent NFIB National Small Business Poll, man-made disasters affect 10% of small businesses, whereas natural disasters have impacted more than 30% of all small businesses in America. Disaster planning will be a necessary component of business survival in the 21st century.
These trends are already set in motion. Take the steps today to set your business goals and direction around foreseeable events emerging.
